Logistics Vocab You Should Know
JUN 22, 2025
Currently, logistics has become a highly popular service due to the COVID-19 situation, which has led people to embrace more technology, including communication and e-commerce. Logistics services are responding to the growing demand, so it’s important to understand some basic logistics terms, especially if you're looking to ship goods internationally. Here are some key terms you should know:
Freight Forwarder
A freight forwarder is an international transportation service provider who acts as an intermediary between importers and exporters. They are responsible for transporting goods across borders without owning their own vehicles (e.g., planes, ships, etc.). They also handle customs procedures to ensure goods are cleared and delivered to the destination.
Transportation
Transportation refers to the movement of goods or services from one location to another. It can be broken down into 5 types:
- Rail transportation
- Truck transportation
- Water or sea transportation
- Air transportation
- Pipeline transportation
Incoterms
Incoterms are international trade terms that define the conditions for delivering goods between buyers and sellers. They specify the responsibilities, costs, and risks involved. Importers and exporters must understand these terms to avoid issues in international trade.
Air Waybill
An air waybill (AWB) is a shipping document that serves as proof of shipment for international goods transport. It acts as a receipt from the exporter to the transporter, and provides details of the journey from the point of departure to the destination.
Inventory Management
Inventory management involves overseeing stock within warehouses, including storing, controlling, and maintaining goods in their original condition. This ensures that products arrive at their destination safely.
Warehouse
A warehouse is a facility used to store and distribute inventory. Warehouses accept orders, organize products, and may also provide packaging services. The products are then shipped to their destination.
Packaging
Packaging is the process of preparing goods for shipping, typically done in warehouses. It involves placing goods into shipping boxes or creating custom packaging for larger items to minimize the risk of damage during transportation. Proper packaging ensures the product reaches the recipient safely.
Distribution Center
A distribution center is a facility responsible for sorting and distributing goods to different locations within a country. Goods from various sources are gathered, sorted, and sent to the appropriate destinations. This helps ensure efficient product flow without long storage times.
The logistics terms mentioned above are just a few of the many terms that people may have questions about. If you need assistance with shipping goods internationally, CPLINTER can help with air, road, and sea freight services, product packaging, export document preparation, and customs clearance. For inquiries about exporting goods, contact CPL at 091-519-4426, or via Line @cplinter. You can also learn more at www.cplinter.com.
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